The report said that the two companies, in a 50-50 deal, will together infuse Rs 5,000 crore of equity funding in the merged entity.

RCom and Aircel are likely to transfer Rs 14,000 crore debt into the merged entity, the report said.

RCom and Aircel have been in exclusive talks since December on a much-anticipated amalgamation in what would be the first in-market telecom merger of national scale in the country.

As per terms of the pact, RCom will hive off its wireless business into a separate arm, which will be combined with Maxis-owned Aircel, with both companies having equal ownership. The new $6 billion entity proposed will remain unlisted in the initial years and operate under a new brand name.

Earlier ET reported that Aircel CEO Kaizad Heerjee emerged as a strong contender to head the merged wireless entity.